Sedgwick says a new approach to address mental health-related absences is needed amid a rise in employees staying away from work due to burnout and other psychological causes.

The claims services provider today released a guide setting out how organisations can use absence insights, manager capabilities and early intervention strategies to address the challenge. 

According to the guide, workplace absence data is revealing clear shifts in health patterns including higher rates of intermittent leave and increased absence duration linked to psychological conditions. 

“Recent data shows that mental health absences increased by 35% year-on-year and are now a leading cause of long-term leave in Australian organisations,” the guide says. 

“These trends are significant because mental health absences often become more complex over time. Without early intervention and appropriate support, an initially non-work-related absence can evolve into prolonged disengagement, formal psychological injury claims, workplace conflict or broader organisational risk.” 

The guide says absence data has become one of the most valuable tools for identifying psychosocial risk within organisations. 

Employers are increasingly analysing absence trends to identify repeated short-term absence patterns, higher absence duration rates and burnout indicators. 

“This shift enables organisations to move from reactive absence administration toward proactive workforce risk management,” the guide says. 

“When these patterns are identified early, organisations are better positioned to implement targeted interventions before issues escalate into extended absence or workers' compensation claims. 

“Mental health is fundamentally reshaping absence management in Australia. What was once viewed primarily as an administrative process is now a critical workforce strategy linked to wellbeing, productivity, culture, compliance and organisational risk.”

Click here for the guide.